Ignore income taxes in this problem.) Oriental Company has gathered the following data on a proposed investment project:

Investment in depreciable equipment	$225,000
Annual net cash flows	$50,000
Life of the equipment	9 years
Salvage value	$0
Discount rate	10.25%

The company uses straight-line depreciation on all equipment.

The payback period for the investment would be:

• 4.50 years

• 0.22 years

• 9 years

• 3.08 years